Biden Ally Rocked: Top Housing Watchdog Demands DOJ Probe Letitia James Over Explosive Insurance Fraud Allegations

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Federal Housing Finance Agency Director William Pulte has once again referred New York Attorney General Letitia James to the Department of Justice, alleging she falsified information tied to a homeowners insurance application in a case that raises serious questions about integrity and equal application of the law.

On Wednesday, Pulte called on US attorneys in Florida and Illinois to authenticate and investigate the claims, underscoring the gravity of the allegations against one of the nations most politically prominent prosecutors. According to The Post Millennial, Pulte, whose agency oversees Fannie Mae, Freddie Mac, and the Federal Home Loan Bank system, highlighted accusations that James misrepresented key details to her home insurer in connection with a Virginia property.

The latest referral builds on an earlier letter sent last April to Attorney General Pam Bondi and Deputy Todd Blanche, in which Pulte flagged claims that James falsified bank documents and property records to acquire government-backed assistance and loans and more favorable loan terms. At the center of those concerns is an allegation that James improperly classified a Norfolk, Virginia, home as her primary residence, despite legal requirements that she maintain residency in New York.

In his new letter to the US Attorneys Office for the Southern District of Florida, Pulte focused on an application for home insurance submitted to Universal Property Insurance, where James allegedly stated the Virginia property would sit unoccupied for five months each year. That assertion appears to conflict with sworn testimony from James niece, who reportedly told investigators she had lived in the home for years while wanted in North Carolina for failing to complete her probation.

[It] appears Ms. James made false representations that her property would be unoccupied five months out of the year, Pulte wrote, directly challenging the accuracy of James insurance filings. According to the post, this was false. The house was, in fact, occupied year-round by her niece.

A separate letter from Pulte to the Northern District of Illinois referenced a court document indicating that James told Allstate her Virginia residence would be occupied by a single individual. Reporting cited in that letter suggests, however, that her niece lived there with multiple children, raising additional concerns about misrepresentation to an Illinois-based insurer.

[It] appears Ms. James made representations that the house would be occupied by a single adult, with no children. Instead, according to the post, she knew the house was actually occupied by four people - three children and her niece, Pulte said, outlining the alleged discrepancy. As such, it appears Ms. James may have defrauded the Illinois-based insurance company. We kindly request you authenticate and investigate this matter, if you deem appropriate.

These referrals come against the backdrop of a prior federal grand jury case in Virginia, where James once faced charges related to alleged false statements and bank fraud. Those charges were ultimately dismissed after a judge ruled the prosecutor in that matter had not been lawfully appointed, and the grand jury later declined to return a new indictment.

James has built a national profile by aggressively targeting political opponents, including President Donald Trump, whom she pursued in a 2022 civil fraud case involving his business that produced a staggering $464 million judgment. For many conservatives, the mounting allegations against James underscore a broader concern: that officials who wield the law as a political weapon must themselves be held to the highest legal and ethical standards, not shielded from scrutiny when their own conduct comes into question.